Brisbane House Prices Are Tipped To Rise 11.3%
Will Brisbane become the investment city for Sydney and Melbourne-based investors? As house price predictions in these states are predicted to fall lower than the current market, Brisbane is predicted to grow by a massive 11.3% over 3 years!
So, what is driving the predicted growth in Brisbane given that foreign investment is in decline?
According to the Queensland Government Population Projections to 2031 report, produced by the Queensland Government in 2011, the population of Queensland is predicted to double by 2056 to 9.1 million and depending on the fertility of our Queensland neighbours this figure could be as high as 11.45 million.
Growth predictions are driven by Interstate and Overseas Migration as well as natural growth.
Taking a shorter view of the economic situation in Brisbane, the BIS Economics Australian Housing Outlook commissioned by QBE Insurance is predicting an 11.3% increase in Brisbane House pricing in the next 3 years to 2021. This growth will see a narrowing in the median housing price between Sydney and Melbourne as Brisbane is predicted to increase to $615,000 by June 2021.
This is great news for Brisbane and Queensland as it provides a level of confidence in the property market for Home Buyers, First Home Buyers and Investors.
Brisbane may also benefit from the pricing pressures on the larger markets of Sydney and Melbourne, which will ultimately impact the Australian economy more than the growth in Brisbane. The outcome is likely increased competition in the lending market and the Australian economy which may see current low rates holding or under pressure for further reductions. Increased competition is likely to result in lenders offering more incentives to new clients, creating opportunities not only for new home buyers but also for existing owner occupiers and investment property owners.
At Brisbane Home Loans, we offer an obligation-free assessment of your existing loan and where possible will show you ways of getting a better interest rate and saving money.
For new buyers, we offer products from more than 40 lenders in Australia, ensuring you get the best deal specifically for your needs. Most importantly, you benefit from our “Good Old-Fashioned Service” where you the client is always the centre of our attention.